Portuguese Government Hints Concessions, but Holds On to Austerity Substance

September 25, 2012 • 11:36AM

(EIRNS)—Following an emergency meeting with President Anibal Cavaco Silva, Portugal's Prime Minister Pedro Passos Coelho announced his intent to retract some of the planned new austerity measures which he has agreed on with the EU Commission-ECB-IMF Troika. Remaining vague however on what he wants to do now, Passos Coelho did not indicate he really wants to scrap core pieces of the austerity agenda—his main motive is said rather to have been to prevent the collapse of his government, where his conservative minor coalition partner CDS-PP oppposes the new austerity packade and even some of his own PSD cabinet ministers think the package is anti-constitutional.

The question is posed, though, for how long, if he tried to, can Passos Coelho continue to fool and squeeze the population, as the entire country is moving toward a truly pre-revolutionary situation, with more than 10 percent of the nation protesting in the streets of Portugal a week ago. Also on Saturday, 15,000 beseiged the presidential palace, as Passos Coelho met with Cavaco Silva. What is still missing on the protesters' side, is a real alternate economic program, to prevent social and political chaos: something like the LaRouche program is needed in Portugal, urgently.